Diamond Reserch Report

Posted on Twitter this morning

NEW YORK, Oct. 25, 2021 (GLOBE NEWSWIRE) -- Diamond Equity Research, a leading equity research firm with a focus on small capitalization public companies has initiated coverage of Chimeric Therapeutics Ltd. (ASX:CHM.AX). The in-depth 41-page initiation report includes detailed information on the Chimeric Therapeutics’ business model, services, industry, valuation, management, and risks.

The full research report is available here. Highlights from the report include:

• Promising Pipeline Positioning as ASX Leader in Cell TherapyChimeric has a promising pipeline targeting different solid tumors with CLTX CAR T and CDH17 CAR T. The CLTX CAR T therapy concentrates on four indications including Glioblastoma, Melanoma, Colorecta, and Prostate Cancer. The second therapy CDH17 CAR T is exploring treating Neuroendocrine, Colorectal, Pancreatic, and Gastric tumors. With multiple indications being targeted, including some of the highest incidence cancers globally, Chimeric is developing a strong diversified pipeline targeting solid tumors with CAR T therapies, with Chimeric positioning itself as the ASX leader in cell therapy.

• Entering the Attractive Unchartered Territory of Solid TumorsCAR T therapies have proven to be effective in the treatment of Hematological cancers, but there has been minimal success seen in solid tumors with no approved therapies to date. Chimeric’s lead indication GBM has a high mortality rate and the heterogeneous nature of tumors creates challenges in the treatment of patients. Chimeric’s use of chlorotoxin as a binding agent to a wide variety of GBM cells has exhibited encouraging early-stage data in terms of efficacy and safety in preclinical trials. The CLTX CAR T therapy is currently in Phase I trials with initial safety data expected in Q4 2021.

• GBM – An Unmet Medical NeedGlioblastoma remains an unmet medical need with a 5-year survival rate of around 5% and median overall survival remains at approximately 12 months. GBM is the most common and deadly malignant brain tumor, while continuing to have a poor prognosis. Surgery, radiation therapy and local or systemic chemotherapy are the standard of care. Given the challenges in current treatments, such as crossing the blood-brain barrier and several other resistance mechanisms, GBM historically returns after remission.

• Unassuming Valuation with Unique Risk Reward ScenarioChimeric is targeting an untapped market with high unmet needs. We believe GBM presents a huge opportunity given the complex nature of tumors. The company’s novel technology has shown potential efficacy and safety in preclinical trials, which although early stage is highly encouraging. Assuming positive data, we model the approval and commercialization in FY2026. Further, we model the company generating peak sales of AUD 3.01 billion. We note the area is highly competitive, there are over 18 CAR T clinical trials being conducted under GBM, with the majority sponsored by academia, we believe the scientific, as well as business skills of Chimeric’s senior team will prove advantageous. We are initiating coverage of Chimeric Therapeutics with our valuation model indicating a fair value of AUD 1.04 per share, contingent on successful execution by the company.

About Chimeric Therapeutics Ltd.

Chimeric Therapeutics is an Australian clinical-stage cell therapy company established in 2020. The company researches, develops and commercializes innovative and promising cell therapies, which they believe can cure cancer and not just delay disease progression. Chimeric Therapeutics is led by a team of cell therapy pioneers and experts committed to bringing the promise of cell therapy to fruition for more patients with cancer. With a number of acquisitions and financing taking place in cell therapy specifically within CAR T cell therapy, the industry is expected to grow rapidly over the next decade.

For more information, visit https://chimerictherapeutics.com.